South Africa’s Johann Rupert has overtaken Nigerian industrialist Aliko Dangote to become Africa’s richest person, according to the latest Bloomberg Billionaires Index.
Rupert’s net worth has surged by $1.87 billion year-to-date, reaching $14.3 billion, driven by the strong performance of his luxury goods conglomerate, Compagnie Financière Richemont. Meanwhile, Dangote’s wealth has decreased by $1.7 billion, dropping his net worth to $13.4 billion, primarily due to economic challenges in Nigeria.
Johann Rupert’s Business Empire
Johann Rupert, 74, is the chairman and controlling shareholder of Compagnie Financière Richemont, a Switzerland-based luxury goods company. Richemont is the world’s largest luxury watchmaker and owns prestigious brands such as:
- Cartier: A leading luxury jewelry and watch brand known for its timeless designs and high-end collections.
- Jaeger-LeCoultre: Renowned for its exquisite timepieces and contributions to horology, particularly in watch movements.
- Montblanc: Famous for luxury writing instruments, watches, and accessories.
In addition to Richemont, Rupert has significant investments through his South African investment vehicle, Remgro, which he inherited from his father, Anton Rupert. Remgro holds stakes in over 30 companies across various sectors, including:
- Healthcare: Investments in Mediclinic International, one of the largest private hospital groups.
- Banking and Financial Services: Stake in FirstRand, a leading financial services provider in South Africa.
- Telecommunications: Investment in CIVH, which controls the fiber-optic company, Dark Fibre Africa.
- Consumer Goods: Interests in Distell Group, a leading producer of wines, spirits, and ciders.
Rupert’s wealth is also tied to the family’s tobacco business, which laid the foundation for his luxury goods empire. Despite his global business reach, Rupert remains involved in South Africa’s socio-political issues and has been an advocate for environmental conservation.
Aliko Dangote’s Business Empire
Aliko Dangote, 66, is the President and CEO of the Dangote Group, one of Africa’s largest and most diversified conglomerates. Dangote’s wealth is predominantly tied to his 86% stake in Dangote Cement, which is publicly traded and operates in several African countries. Dangote Cement is the largest cement producer in Africa, with a production capacity of over 48.6 million metric tons annually.
Beyond cement, Dangote’s business includes:
- Sugar Refining: Dangote Sugar Refinery is Africa’s largest sugar producer, supplying sugar to industries and households across the continent.
- Salt Production: Nascon Allied Industries, another subsidiary, is a leading producer of salt, seasoning, and other food products.
- Agriculture: Investments in large-scale rice and tomato farming as part of Nigeria’s efforts to boost food security.
- Banking: Dangote holds significant shares in United Bank for Africa (UBA) and other financial institutions.
- Oil and Gas: The Dangote Refinery in Lagos, a massive 650,000 barrels-per-day facility, is one of the largest in the world and was designed to meet Nigeria’s fuel needs while exporting refined products.
Economic Challenges Impacting Dangote
Dangote’s fortune has been significantly impacted by Nigeria’s economic conditions. The sharp fall in the value of the naira has devalued his assets, most of which are denominated in the local currency. Additionally, President Bola Tinubu’s economic reforms, such as the removal of fuel subsidies, have led to inflation soaring above 30%, affecting consumer purchasing power and overall business profitability.
The Dangote Refinery, initially expected to be a boost for Nigeria’s economy, has faced several setbacks, including production delays and supply chain disruptions. These issues have further strained the performance of the Dangote Group, contributing to the decline in Aliko Dangote’s net worth.
Meanwhile, the rise in Rupert’s net worth is due to the performance of the luxury goods sector, driven by strong demand in global markets, particularly in Asia and Europe. In contrast, Dangote’s wealth has been affected by Nigeria’s economic challenges and the volatility of emerging markets.
Despite these challenges, Dangote remains a prominent figure in Africa’s business world, though he now ranks second on the continent and 159th globally according to Bloomberg’s latest index.
The latest rankings also place South African billionaire Nicky Oppenheimer third with a net worth of $11.3 billion, followed by Egyptian businessman Nassef Sawiris with $9.37 billion, and South African investor Natie Kirsh with $9.14 billion.
